Terragen Holdings Ltd · ASX:TGH
Terragen — Investor Presentation (December 2024)
41 slides from Terragen's investor presentation, Dec 5, 2024
Slide 1: Equity Raising Presentation
Not for release to US wire services or distribution in the United States For personal use only 5 December 2024 Equity Raising Presentation 1 Terragen Holdings Limited
Slide 2: Disclaimer
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Disclaimer This presentation (Presentation) has been prepared by Terragen Holdings Limited (Terragen) Important Notice and Disclaimer The following notice and disclaimer applies to this investor presentation ("Presentation" or "docum
Slide 3: Disclaimer
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Disclaimer This presentation (Presentation) has been prepared by Terragen Holdings Limited (Terragen) Future performance Acknowledgements: This Presentation contains certain 'forward-looking statements' that are based on management's
Slide 4: Terragen Overview
04 TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX 4 Overview Terragen 01 For personal use only
Slide 5: Executive Summary
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Executive Summary • Terragen Holdings Limited (“Terragen” or “TGH”) specialises in the research, development and commercialisation of biological products for use in the agricultural sector. Terragen • Terragen is committed to the glo
Slide 6: About Terragen
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING About Terragen Terragen Holdings Limited ASX:TGH Industry Group: Agricultural Products NEW Terragen is a research, 2009 development and Leadership Founded For personal use only commercialisation company With head office in Team speci
Slide 7: Investment Highlights
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Investment Highlights Long-standing Near-term Global market 1 2 Proven results 3 4 experience commercialisation opportunity For personal use only • Founded in 2009, Terragen • Previous scientific research • Dry MYLO® has proven to be
Slide 8: Scientific research underpins the use of microorganisms in our product development
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Scientific research underpins the use of microorganisms in our product development From a commercial perspective, For personal use only the key is understanding the optimal conditions, combinations Biostimulants Probiotics and fermen
Slide 9: Our competitive advantage: Production know-how and patented microorganism strains
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Our competitive advantage: Production know-how and patented microorganism strains Terragen's use of microbes are protected by patents across 22 countries including the USA, Brazil and Europe. 1 For personal use only DNA of proprietar
Slide 10: Commercialisation pathway for Dry Probiotic range
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX Commercialisation pathway for Dry Probiotic range $2.1m of sales revenue in FY24 (ANZ liquid sales primarily in dairy) For personal use only • Launching Dry Probiotic range Q1 2025 Finalising terms for a distribution agreeme
Slide 11: Prominent agri-businesses trial Dry MYLO
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Prominent agri-businesses trial Dry MYLO Leading marketer for Top 10 largest Wagyu Global beef exporter and For personal use only long-term user of A leading Australian sheep, lamb, wool and producers globally probiotics in feedlots
Slide 12: Pipeline of MYLO scientific research to further validate and diversify our products
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Pipeline of MYLO scientific research to further validate and diversify our products for commercialisation Expected completion Research focus area Institution partner Dec 2024 Beef For personal use only Trial in a research feedlot eva
Slide 13: Scientific research on GLP is underway to validate our product benefits
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Scientific research on GLP is underway to validate our product benefits in each targeted crop Expected completion Research focus area Institution partner For personal use only Feb 2025 Canola An independent replicated canola trial is
Slide 14: Terragen Products
14 TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX Products Terragen 02 For personal use only
Slide 15: Terragen has two products in the market and a strong product development pipeline
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Terragen has two products in the market and a strong product development pipeline Probiotic Biostimulant For personal use only MYLO® Great Land Plus Reducing methane, Reducing scope emissions, increasing productivity increasing produ
Slide 16: Transforming our probiotic product, with new Dry MYLO launch anticipated in March 2025
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX Transforming our probiotic product, with NEW DRY MYLO launch anticipated in March 2025 Current March 2025 Extended shelf life For personal use only From six months to two years Liquid MYLO Dry MYLO Increased transport effici
Slide 17: MYLO is scientifically proven to increase livestock yields and deliver environmental benefits
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX MYLO® is scientifically proven to increase livestock yields and deliver environmental benefits Lamb Performance Benefit Environmental Benefits 24% higher(1) Reduces Methane For personal use only Average daily weight gain Met
Slide 18: Charles Sturt University case studies of long-term users of GLP
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX Charles Sturt University case studies of long-term users indicate GLP delivers environmental benefits and increases crop yields Dairy Pasture Performance Benefit Environmental Benefits 35% increase(1) Reduces reliance on nit
Slide 19: A case study: GLP radically improving yields and reducing urea usage
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX A case study: GLP®, radically improving yields and reducing urea usage For personal use only The innovative formula in Great Land Plus® is designed to nurture the soil, resulting in natural productivity gains • Soil Organic
Slide 20: Building our biostimulant offer with new Dry GLP product launch anticipated in 2026
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX Building our biostimulant offer with NEW DRY GLP product launch anticipated in 2026 For personal use only Current 2026 Extended shelf life From six months to two years Liquid GLP Dry GLP Increased transport efficiency Global
Slide 21: The Way Forward
21 TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX 21 The way Forward 03 For personal use only
Slide 22: We've strengthened our leadership team with highly experienced people
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX We’ve strengthened our leadership team with highly experienced people in product commercialisation For personal use only 144 years ASX and global listed companies experience Mike Barry Michele Allan Chair, Appointed June 23
Slide 23: Products are being commercialised through contracted manufacturing and global distribution
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Products are being commercialised through contracted manufacturing and global distribution Knoell Knoell is a leading service provider for worldwide registration and regulatory compliance for For personal use only crop nutrition and
Slide 24: Significant pipeline of opportunities for dry MYLO and GLP across the globe
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Significant pipeline of opportunities for dry MYLO and GLP across the globe Product Target Year Target Markets Number of Head Market Value (1) MYLO - Dairy Cows 2025 Australia & NZ 2M $60M Note: 300 Day lactation @10mls p/d This prov
Slide 25: Key Takeaways
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Key Takeaways Over the past six months, Terragen Committed to Decarbonising Agriculture Sustainable solutions that not only reduce carbon has embarked on a transformative emissions but also deliver productivity gains journey focused
Slide 26: Equity Raising
26 TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX Raising Equity 04 For personal use only
Slide 27: Offer Details
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Offer Details ▪ An Offer of approximately A$5.0 million comprising an institutional placement of approximately $1.0 million ("Placement") and a fully underwritten $4.0 Offer structure and million 1 for 3.22 pro-rata accelerated non-r
Slide 28: Indicative Timetable
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Indicative Timetable Event Date Trading halt and announcement of Offer (including release of ASX announcement, Appendix 3B, cleansing notice and Thursday 5 December 2024 investor presentation) Complete Institutional Offer (Placement
Slide 29: Sources & Uses of Funds
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Sources & Uses of Funds Sources A$m Pro forma cash balance • Post completion of the capital raise, TGH Placement $1.0m will have a pro forma cash balance of For personal use only ANREO $4.0m $9.17m (post-offer costs). Total $5.0m Use
Slide 30: Pro forma capital structure
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Pro forma capital structure % (on an No. of securities Securities issued in No. of securities Issued share capital % undiluted (pre-equity raising) equity raising1 (post-equity raising) basis) For personal use only Fully paid ordinar
Slide 31: Proforma Balance Sheet
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX Proforma Balance Sheet Notes: AUD $'000 Audited Balance Sheet as Pro-forma Adjustments Pro-forma, Post- 1. Includes cash at bank and a at assuming fully subscribed offer Historical Balance Sheet term deposit. Equity raising
Slide 32: Appendix
32 TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX Appendix 05 For personal use only
Slide 33: Key Risk Factors
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Key Risk Factors There are a number of risks that are both specific to Terragen and are of a general nature, which may affect the future operating and financial performance of the Company and the outcome of any investment in the Comp
Slide 34: Key Risk Factors
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX Key Risk Factors Risk Description The development and commercialisation of products is expensive and often involves an extended period of time to achieve return on investment. A critical aspect of Terragen's business model i
Slide 35: Key Risk Factors
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING APPENDIX Key Risk Factors Risk Description Terragen has provided an indication of how it intends to apply its existing funds, including funds raised under the Equity Raising. There is a risk that the costs of research and development
Slide 36: Key Risk Factors
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Key Risk Factors Risk Description The introduction of new legislation or amendments to existing legislation by governments (including the introduction of tax reform), developments in existing common law or the interpretation of legal
Slide 37: Key Risk Factors
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Key Risk Factors Risk Description The market price of Shares may rise or fall between the date of the Equity Raising and the issue date of the Shares under the Equity Raising. The effect of Market price this is that the offer price y
Slide 38: International Offer Restrictions
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING International Offer Restrictions This Presentation does not constitute an offer of new ordinary shares ("New Shares") of the Company in any United Kingdom jurisdiction in which it would be unlawful. In particular, this Presentation m
Slide 39: Summary of Underwriting Agreement
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Summary of Underwriting Agreement Terragen has entered into a conditional Underwriting Agreement with Morgans Corporate Limited (the “Underwriter”) dated 5 December 2024 (“Underwriting Agreement”) under which the Underwriter has agre
Slide 40: Summary of Underwriting Agreement
TERRAGEN OVERVIEW TERRAGEN PRODUCTS THE WAY FORWARD EQUITY RAISING Summary of Underwriting Agreement Terragen has entered into a conditional Underwriting Agreement with Morgans Corporate Limited (the “Underwriter”) dated 5 December 2024 (“Underwriting Agreement”) under which the Underwriter has agre
Slide 41: For personal use only
For personal use only Richard Norton Terragen Holdings Ltd. Managing Director & CEO ASX:TGH - - richardn@terragen.com.au Unit 6, 39-41 Access Crescent, Coolum Beach QLD 4573 M: 0427 613 845 ABN: 36-073-892-636
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